Discount Calculator
Calculate a final price after applying either a percentage discount or a flat dollar-amount discount.
The calculation, explained
Percentage discounts scale with the amount (15% of $200 = $30 off); flat discounts subtract a fixed dollar figure regardless of the original amount.
Discount calculation examples
| Scenario | Calculation | Final price |
|---|---|---|
| 15% off $200 | $200 × 0.15 = $30 off | $170.00 |
| $25 off $180 | $180 − $25 | $155.00 |
| 10% early-payment discount on $3,400 | $3,400 × 0.10 = $340 off | $3,060.00 |
| Two stacked discounts: 20% then 10% on $100 | $100 × 0.80 × 0.90 | $72.00 (not $70) |
Stacked percentage discounts are applied one after the other, so 20% + 10% equals 28% off, not 30%.
How to show a discount on an invoice
- Show the original price, then the discount as its own line — the customer sees the value they’re getting.
- Label it — “Loyalty discount (10%)”, “Bulk order discount”, “Promo code SPRING”.
- Apply tax after the discount in most cases — tax is generally charged on the discounted price for seller-funded discounts. Manufacturer coupons can be treated differently in some US states.
- Early-payment discounts such as “2/10 Net 30” (2% off if paid within 10 days, otherwise full amount due in 30) go in the payment terms.
Our invoice generator’s Discount field supports both percentage and fixed discounts and applies them to the total automatically.
Common types of business discounts
- Volume / bulk discounts — lower unit price for larger quantities.
- Trade discounts — for wholesalers or resellers.
- Prompt-payment discounts — to encourage early payment.
- Seasonal or promotional discounts — limited-time offers.
- Loyalty or repeat-client discounts.
- Bundle discounts — a lower price for buying items together.
Common questions
Can I apply a discount directly in the invoice generator?
Yes — the generator’s Discount field on the homepage supports both percentage and flat discounts, applied automatically to your invoice total.
How do I calculate a percentage discount?
Multiply the price by the discount percentage as a decimal, then subtract it. 15% off $80: $80 × 0.15 = $12, so the final price is $68.
Is sales tax calculated before or after a discount?
Usually after — tax is charged on the discounted selling price for store or seller discounts. Some states treat manufacturer coupons differently.
What does 2/10 Net 30 mean?
The customer may take a 2% discount if they pay within 10 days; otherwise the full amount is due within 30 days.
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